A business facing the prospect of effectively dealing with losses could find their task a little easier with a more relaxed version of the “same business” test put in place by the ATO. We also warn about the new rules that can deny a deduction for some business payments if certain reporting obligations are unmet.

Also dusted off is the (now restricted) place for claims of travel expenses in relation to rental properties, and a reminder of the at-times forgotten role that valuations can play with regard to tax and property.

Please contact us for clarification, or further advice, regarding any of the topics covered in this newsletter.

Start-up businesses are generally not for faint-hearted investors, but there are tax incentives that can help. We look at two early stage business investment options. Also, a perennial topic of interest for tax is the ability to claim vehicle deductions, so we run over the basics to keep in mind.

In this issue we also examine how travel expense claims can be helped along if a taxpayer can also work in the word “itinerant”. And the ATO has also issued a warning on SMSFs and “personal services income”.

Please contact us for clarification, or further advice, regarding any of the topics covered in this newsletter.

Crowdfunding is a relatively modern phenomenon, helped in no small part by the growth of the online world. But with revenue, of any sort, tax is generally something that has to be considered.

If you have already lodged your income tax return but then realise you left something out, don’t panic. We can help you make an amendment with the ATO to make things right. In this issue we also look at the place private rulings can have in managing more complex tax affairs. We’ve had great success with Private Rulings for our clients over the years. We also examine the ins and outs of personal services income.

Please contact us for clarification, or further advice, regarding any of the topics covered in this newsletter.

They say that education comes with a cost, but that ignorance can cost you more. Self education is certainly worthwhile considering, especially as there can be tax breaks for the right sort of training.

SMSF trustees are generally family or friends, but that doesn¹t mean there won¹t be arguments along the way to greater wealth, so we take a look at how to best settle disputes. Another prompt for dispute is between deceased estate beneficiaries if a will doesn¹t satisfy expectations, so we examine how this can (sometimes) be rectified.

We also touch upon catching up on GST credits that have slipped through the cracks, and the exclusion clause the ATO has up its sleeve to deny a claim for a business loss.

Please contact us for clarification, or further advice, regarding any of the topics covered in this newsletter.

Not every retiree has heard of the government’s Pension Loan Scheme, but it’s about time more people did. And with Tax Time now upon us, we run over some tips for your tax return.

An integrity measure that businesses need to keep a close eye on, called Division 7A, is given the once over, as are the possible deductions available for insurance premiums, and we also provide a brush-up on partnerships in the form of a quick quiz.

Please contact us for clarification, or further advice, regarding any of the topics covered in this newsletter.

Undoubtedly the headline item from the budget is tax relief for individuals by lifting the 32.5% tax bracket to $90,000 from 1 July 2018 and the Government’s announcement of its intention abolish the 37% tax bracket in 2024-25. In the 2022-23 financial year we will also see the Low Income Tax Offset increased to $645 and the 19% tax rate from $37,000 to $41,000.

Health & aged care was a key focus for this announcement. In the build up to the budget, we heard that there will be no increase to the Medicare levy, as the National Disability Insurance Scheme (NDIS) has been funded from other sources of revenue. Whilst we do not know the exact details of where this extra money has been found, the abandonment of this proposed increase is certainly welcomed. The Medicare rebate is increasing by 55¢ for a visit to the GP after a four year freeze and the Royal Flying Doctors Service given an additional $84 million to expand its services.

The Government is also tackling the sin taxes in this year’s budget. After crackdowns in recent times on the black economy, the Government’s next project to recoup lost revenue is to establish a tobacco taskforce – expected to raise an additional $3.6 billion in additional revenue – to crack down on the “chop-chop” tobacco trade. With regards to alcohol, the excise charged on craft beer kegs over eight litres will be equalised. This is intended to level the competition between small craft breweries and large multinational beer producers.

The May Newsletter

Interest expenses on money borrowed to buy business assets can be deductible. However there are also circumstances, allowed under tax law, where deductions are still available after the relevant asset is disposed of. We run over the details.

We also look at the “work test” required for super contributions to be made for those over the age of 65. In this issue of your newsletter we also deal with tax and franchising, the basics of testamentary trusts, and have a quick quiz (with answers) on business deductions.

Please contact us for clarification, or further advice, regarding any of the topics covered in this newsletter.

There’s a hidden danger lurking within the FBT rules that business owners should keep an eye on. Where a third party supplier is generous enough to include your employees, there’s a very real possibility that this could trigger a tax liability for that business. We run over this and other quirks of the FBT regime.
We also look at the need for valuations for SMSF assets, the looming Single Touch Payroll requirements, as well as when or if a business can use simplified trading stock rules.
Please contact us for clarification, or further advice, regarding any of the topics covered in this newsletter.

Well another year is upon us and we’re off and running. Below is our 2016 tax checklist if you’re keen to get your things in order. Please remember that we’re here to help so if anything is proving hard to find let us know as we’ve usually got a trick or two up our sleeves.

Even though the current financial year is winding up, don’t assume that your 2015-16 tax outcome is set in concrete just yet — there are still some legitimate tax planning strategies that can help us help you not pay a cent more tax than you have to. In the same vein, we also list the top 7 tax tips for investors.
SMSF trustees come in two flavours — corporate or individual. Deciding which is best for your retirement savings outcome requires careful consideration, so we have run a ruler over each. We also look at trust essentials, and explain the government’s Restart wage subsidy program that’s available for businesses.
Please contact us for clarification, or further advice, regarding any of the topics covered in this newsletter.
LATERALS-June-2016